BNY Mellon's Lockwood Advisors has teamed up with American Funds to offer three new managed portfolios.
The portfolios - appreciation, balanced and conservative growth – will use a combination of American Funds mutual funds as well as third-party exchange-traded funds (ETFs) from a list curated by Lockwood.
They have an account minimum of $10,000 and will be available through Lockwood’s managed account platform, Managed 360, launched in 2015 and used by around 200 firms via the Pershing platform.
The expense ratios will range from 32 to 41 basis points, with funds using the American Funds F3 share class, which are free of commissions and 12b-1 fees, according to Joel Hempel, chief operating officer at Lockwood.
The Managed 360 platform also includes unified managed accounts, mutual fund/ETF wrap accounts, and third-party mutual fund and ETF models.
The firm also has a platform for research covered and open-architecture separately managed account managers.
‘This new solution brings together our portfolio construction capabilities with the American Funds family of mutual funds to provide our clients with a solution that will help them effectively manage investor goals across life cycles through a combination of active and passive strategies,’ said Hempel.
Lockwood has over $7.4 billion of assets under management.
In November last year American Funds struck a similar deal with turnkey asset management program AssetMark, which offers six of the asset manager’s model portfolios on its platform.